Stock P/E, Current Price, and Intrinsic Value Over Time
Competitors of Hindustan Zinc Ltd
Stock Name
Market Cap
Current Price
High / Low
Stock P/E
Book Value
Dividend Yield
ROCE
ROE
Face Value
Industry Average
0 Cr
0
0
0
0%
0%
0%
0
Quarterly Result
Month
Sep 2020
Dec 2020
Mar 2021
Jun 2021
Sep 2021
Dec 2021
Mar 2022
Jun 2022
Sep 2022
Dec 2022
Mar 2023
Jun 2023
Sep 2023
Sales
5,660
6,033
6,947
6,531
6,122
7,990
8,797
9,387
8,336
7,866
8,509
7,282
6,792
Expenses
2,708
2,764
3,072
2,973
2,787
3,620
3,834
4,249
3,928
4,159
4,250
3,934
3,653
Operating Profit
2,952
3,269
3,875
3,558
3,335
4,370
4,963
5,138
4,408
3,707
4,259
3,348
3,139
OPM %
52%
54%
56%
54%
54%
55%
56%
55%
53%
47%
50%
46%
46%
Other Income
390
450
295
215
311
279
277
310
367
349
356
287
231
Interest
68
135
131
92
82
50
66
44
51
62
176
218
232
Depreciation
652
639
696
658
702
741
816
731
798
807
928
801
825
Profit before tax
2,622
2,945
3,343
3,023
2,862
3,858
4,358
4,673
3,926
3,187
3,511
2,616
2,313
Tax %
26%
25%
26%
34%
30%
30%
33%
34%
32%
32%
26%
25%
25%
Net Profit
1,940
2,200
2,481
1,983
2,017
2,701
2,929
3,093
2,681
2,157
2,589
1,970
1,737
EPS in Rs
4.59
5.21
5.87
4.69
4.77
6.39
6.93
7.32
6.35
5.10
6.13
4.66
4.11
Last Updated: August 9, 2024, 6:44 pm
Quarterly Chart
Profit & Loss - Annual Report
Last Updated: August 9, 2024, 6:44 pm
Month
Mar 2012
Mar 2013
Mar 2014
Mar 2015
Mar 2016
Mar 2017
Mar 2018
Mar 2019
Mar 2020
Mar 2021
Mar 2022
Mar 2023
TTM
Sales
11,405
12,700
13,636
14,788
14,181
17,273
22,082
21,118
18,561
22,629
29,440
34,098
30,449
Expenses
5,336
6,172
6,717
7,338
7,923
7,534
9,812
10,448
9,691
10,957
13,214
16,577
15,996
Operating Profit
6,069
6,528
6,919
7,450
6,258
9,739
12,270
10,670
8,870
11,672
16,226
17,521
14,453
OPM %
53%
51%
51%
50%
44%
56%
56%
51%
48%
52%
55%
51%
47%
Other Income
1,500
1,966
1,881
2,788
3,127
2,474
1,956
1,782
1,911
1,819
1,082
1,373
1,223
Interest
14
27
45
24
17
202
246
113
112
386
290
333
688
Depreciation
611
647
785
644
745
1,811
1,483
1,883
2,279
2,531
2,917
3,264
3,361
Profit before tax
6,945
7,820
7,970
9,570
8,623
10,200
12,497
10,456
8,390
10,574
14,101
15,297
11,627
Tax %
20%
12%
13%
15%
5%
18%
26%
24%
19%
25%
32%
31%
Net Profit
5,526
6,899
6,905
8,178
8,175
8,316
9,276
7,956
6,805
7,980
9,630
10,520
8,453
EPS in Rs
13.08
16.33
16.34
19.35
19.35
19.68
21.95
18.83
16.11
18.89
22.79
24.90
20.00
Dividend Payout %
18%
19%
21%
23%
144%
149%
36%
106%
102%
113%
79%
303%
Profit & Loss Yearly Chart
YoY Net Profit Growth
Year
2012-2013
2013-2014
2014-2015
2015-2016
2016-2017
2017-2018
2018-2019
2019-2020
2020-2021
2021-2022
2022-2023
YoY Net Profit Growth (%)
24.85%
0.09%
18.44%
-0.04%
1.72%
11.54%
-14.23%
-14.47%
17.27%
20.68%
9.24%
Change in YoY Net Profit Growth (%)
0.00%
-24.76%
18.35%
-18.47%
1.76%
9.82%
-25.77%
-0.24%
31.73%
3.41%
-11.43%
Growth
Compounded Sales Growth
10 Years:
8%
5 Years:
7%
3 Years:
9%
TTM:
-7%
Compounded Profit Growth
10 Years:
3%
5 Years:
0%
3 Years:
0%
TTM:
-13%
Stock Price CAGR
10 Years:
11%
5 Years:
18%
3 Years:
14%
1 Year:
52%
Return on Equity
10 Years:
25%
5 Years:
29%
3 Years:
39%
Last Year:
55%
Last Updated: September 6, 2024, 6:15 pm
Balance Sheet
Last Updated: August 9, 2024, 6:44 pm
Month
Mar 2013
Mar 2014
Mar 2015
Mar 2016
Mar 2017
Mar 2018
Mar 2019
Mar 2020
Mar 2021
Mar 2022
Mar 2023
Mar 2024
Equity Capital
845
845
845
845
845
845
845
845
845
845
845
845
Reserves
31,431
36,573
42,508
36,540
29,960
35,087
32,760
39,465
31,468
33,437
12,097
14,388
Borrowings
0
0
0
0
7,908
0
2,538
611
7,201
2,844
11,881
8,722
Other Liabilities
3,190
4,259
5,639
15,810
13,082
7,000
6,315
6,054
6,213
7,545
10,631
9,949
Total Liabilities
35,465
41,677
48,992
53,195
51,795
42,932
42,458
46,975
45,727
44,671
35,454
33,904
Fixed Assets
8,484
9,147
9,446
10,385
9,993
11,302
14,778
16,469
16,808
17,396
17,620
18,055
CWIP
1,082
1,541
2,005
2,428
3,071
3,220
2,254
2,489
1,922
2,075
2,107
1,529
Investments
14,540
22,506
27,254
35,221
23,783
20,222
19,488
20,329
12,957
15,052
10,107
10,452
Other Assets
11,360
8,482
10,288
5,161
14,948
8,188
5,938
7,688
14,040
10,148
5,620
3,868
Total Assets
35,465
41,677
48,992
53,195
51,795
42,932
42,458
46,975
45,727
44,671
35,454
33,904
Reserves and Borrowings Chart
Cash Flow
Month
Mar 2013
Mar 2014
Mar 2015
Mar 2016
Mar 2017
Mar 2018
Mar 2019
Mar 2020
Mar 2021
Mar 2022
Mar 2023
Mar 2024
Cash from Operating ActivityÂ
4,785
5,471
5,531
6,451
7,588
9,800
8,781
6,621
10,567
12,691
15,166
13,343
Cash from Investing ActivityÂ
-3,269
-3,955
-3,807
-3,236
12,007
2,396
-1,092
-2,648
-2,435
846
6,525
-3,405
Cash from Financing ActivityÂ
-1,255
-1,577
-1,902
-3,214
-11,266
-18,612
-9,630
-2,098
-9,697
-12,258
-23,224
-9,946
Net Cash Flow
261
-62
-178
1
8,329
-6,416
-1,941
1,875
-1,565
1,279
-1,533
-8
Free Cash Flow
Month
Mar 2012
Mar 2013
Mar 2014
Mar 2015
Mar 2016
Mar 2017
Mar 2018
Mar 2019
Mar 2020
Mar 2021
Mar 2022
Mar 2023
Free Cash Flow
6.00
6.00
6.00
7.00
6.00
2.00
12.00
8.00
-603.00
4.00
14.00
6.00
Free Cash Flow = Income Generated from Operational Activities - Borrowings - Capital Work in Progress (CWIP)
Consistent positive free cash flow is crucial for businesses as it indicates their ability to generate cash from their core operations. It provides financial flexibility, allowing companies to invest in growth opportunities, pay dividends to shareholders, reduce debt, and weather economic downturns more effectively.
Fair value = P/E Ratio * (Return on Equity / 100) * Book Value * (1 + Dividend Yield / 100)
P/E Ratio (Price-to-Earnings Ratio): Represents the price of the stock relative to its earnings per share. A higher P/E ratio indicates that investors are willing to pay a higher price for the stock.
Return on Equity (ROE): Measures a company's profitability relative to its shareholder equity. It showcases the company's ability to generate profits using the investment made by its shareholders, offering valuable insight into its operational efficiency and financial performance.
Book Value: Represents the net asset value of the company per share. It is calculated as the total assets minus intangible assets and liabilities, divided by the number of outstanding shares.
Dividend Yield: The ratio of the annual dividend per share to the current market price per share. It offers valuable insights into the profitability of an investment through dividends.
This formula allows us to gauge the fair value of the stock by analyzing its fundamental indicators.
Undervalued: 8.96% compared to the current price ₹487.00
Intrinsic Value: 554.08
Calculation basis:
Fair value = P/E Ratio * (Return on Equity / 100) * Book Value * (1 + Dividend Yield / 100) * (1 + EPS CAGR for Last 5 Years)
P/E Ratio (Price-to-Earnings Ratio): Represents the price of the stock relative to its earnings per share. A higher P/E ratio indicates that investors are willing to pay a higher price for the stock.
Return on Equity (ROE): Measures a company's profitability relative to its shareholder equity. It showcases the company's ability to generate profits using the investment made by its shareholders, offering valuable insight into its operational efficiency and financial performance.
Book Value: Represents the net asset value of the company per share. It is calculated as the total assets minus intangible assets and liabilities, divided by the number of outstanding shares.
Dividend Yield: The ratio of the annual dividend per share to the current market price per share. It offers valuable insights into the profitability of an investment through dividends.
EPS CAGR (Compound Annual Growth Rate): Represents the geometric mean growth rate of earnings per share over the last 5 years. It provides insight into the historical growth trajectory of the company's earnings.
This formula allows us to gauge the intrinsic value of the stock by analyzing its fundamental indicators along with EPS growth.
Undervalued: 13.77% compared to the current price ₹487.00
Last 5 Year EPS CAGR: 4.42%
*Investments are subject to market risks
Strength and Weakness
Strength
Weakness
The stock has a high average ROCE of 29.67%, which is a positive sign.
The stock has a low average Working Capital Days of -74.42, which is a positive sign.
The company has higher reserves (31,309.50 cr) compared to borrowings (3,475.42 cr), indicating strong financial stability.
The company has shown consistent growth in sales (19.77 cr) and profit (9.77 cr) over the years.
The stock has a high average Cash Conversion Cycle of 39.58, which may not be favorable.
Stock Analysis
Considering all of the following key financial indicators, prospective investors are encouraged to conduct thorough research and seek professional guidance before considering any investment in Hindustan Zinc Ltd:
Net Profit Margin: This metric indicates the percentage of profit a company makes from its total revenue. A higher net profit margin is generally desirable as it reflects better profitability.
ROCE (Return on Capital Employed): ROCE measures a company's profitability and the efficiency with which its capital is employed. A higher ROCE indicates efficient use of capital.
ROE%: 51.06% (Industry Average ROE: 0%)
ROE (Return on Equity): ROE measures a company's profitability relative to shareholders' equity. A higher ROE indicates efficient use of shareholders' funds.
Interest Coverage Ratio: The interest coverage ratio measures a company's ability to cover its interest payments on outstanding debt. A ratio greater than 2 is generally considered healthy as it indicates the company can meet its interest obligations comfortably.
Quick Ratio: The quick ratio assesses a company's ability to cover its short-term liabilities with its most liquid assets. A ratio higher than 1 suggests the company can meet its short-term obligations without relying heavily on inventory.
Stock P/E: 25.2 (Industry average Stock P/E: 0)
Stock P/E (Price-to-Earnings) Ratio: The P/E ratio compares a company's current share price to its earnings per share. A lower P/E ratio relative to industry peers or historical values may indicate that the stock is undervalued.
Total Debt / Equity: 0.55
Total Debt / Equity: This ratio measures a company's financial leverage by comparing its total debt to its total equity. A lower ratio indicates lower financial risk and greater financial stability.
The current analysis is available for review. It's important to conduct thorough research and consider consulting with financial professionals before making any investment decisions. Stock Rating:
About the Company - Qualitative Analysis
Hindustan Zinc Ltd. is a Public Limited Listed company incorporated on 10/01/1966 and has its registered office in the State of Rajasthan, India. Company’s Corporate Identification Number(CIN) is L27204RJ1966PLC001208 and registration number is 001208. Currently company belongs to the Industry of Metals - Non Ferrous - Zinc/Zinc Alloys - Products. Company’s Total Operating Revenue is Rs. 29440.00 Cr. and Equity Capital is Rs. 845.00 Cr. for the Year ended 31/03/2022.
INDUSTRY
ADDRESS
CONTACT
Metals - Non Ferrous - Zinc/Zinc Alloys - Products
Getaka, CFA, a financial analyst with 15 years of experience in the industry. Getaka holds an MBA degree and the Chartered Financial Analyst designation, demonstrating his profound understanding of financial analysis and investment management. Throughout his career, he has conducted numerous financial analyses and due diligence processes for companies in the industry, and has a strong track record of identifying key trends and opportunities. He leverages his expertise to deliver a thorough financial analysis of a company, encompassing its financial performance, key ratios, future prospects, and risks. Getaka is committed to providing accurate, reliable, and trustworthy information to help readers make informed decisions about their finances and investments.
Disclaimer: This article is for informational purposes only and should not be construed as financial advice. The author is not a SEBI registered financial advisor and does not have any vested interest in Hindustan Zinc Ltd. Investors are advised to conduct their own due diligence and consult with a financial professional before making any investment decisions. The information provided in this article is based on publicly available data and the author's analysis, but it may not be comprehensive or up-to-date. The author and getaka.co.in are not responsible for any errors or omissions in the content. This article is not intended to promote any particular investment strategy or recommendation, and readers should consult with their own financial advisors before making any investment decisions. Data Source: NSE
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